Keypoints:
- Tanzania diaspora remittances climbed 57 percent
- Overseas Tanzanians sent home $1.27bn
- Government expands diaspora investment outreach
TANZANIA received TSh3.313 trillion (about $1.27bn) in remittances from citizens living abroad during the 2024-2025 fiscal year, underscoring the growing importance of diaspora financing to the country’s economic expansion.
Speaking during a parliamentary budget presentation on Tuesday, Foreign Affairs Minister Mahmoud Thabit Kombo said the inflows represented a 57 percent increase from the TSh2.11 trillion (about $810m) recorded in the previous fiscal year.
The sharp rise highlights increasing confidence among overseas Tanzanians in the country’s economic policies and investment climate, while reinforcing the government’s push to position the diaspora as a key partner in national development.
Diaspora becomes major economic force
Presenting the Ministry of Foreign Affairs and East African Cooperation’s budget estimates for the 2026-2027 fiscal year in parliament in Dodoma, Kombo said remittances were helping strengthen household incomes, support private investment and deepen financial sector activity.
He said the revised 2024 Tanzania Foreign Policy framework places stronger emphasis on the inclusion of diaspora communities in national development planning.
According to the minister, overseas Tanzanians are increasingly being recognised not only as a source of foreign exchange inflows but also as investors, entrepreneurs and strategic development partners.
‘The diaspora continues to contribute significantly to economic growth and social welfare,’ Kombo told lawmakers.
Across Africa, governments have increasingly turned to diaspora engagement strategies to attract capital, skills and international business connections as global economic pressures weigh on domestic revenues and borrowing capacity.
Tanzania’s latest figures add to a wider continental trend explored in Africa Briefing’s analysis of how diaspora remittances are becoming Africa’s economic powerhouse</a>.
Outreach clinics target investors
During the review period, the ministry coordinated diaspora service clinics in the Netherlands, Germany, Belgium, the United Arab Emirates, Oman and Botswana.
The programmes were aimed at promoting investment opportunities in Tanzania while also helping diaspora members access government services more efficiently.
According to Kombo, the outreach initiatives offered immigration assistance, national identification services and financial advisory support to Tanzanians abroad.
Officials believe the engagement strategy could encourage greater diaspora investment in sectors including tourism, manufacturing, technology and property development.
Tanzania has intensified efforts in recent years to attract diaspora capital as part of wider economic diversification plans and attempts to reduce dependence on external financing.
Digital registration system upgraded
Kombo also said the government had improved the Diaspora Digital Hub registration system to strengthen data collection and improve policymaking.
As of May 14, 2026, more than 3,000 Tanzanians living abroad had registered on the platform, with officials expecting the figure to rise further following the latest upgrades.
Authorities say better diaspora data will help ministries and financial institutions design more targeted investment products, incentives and support services.
The government sees stronger diaspora engagement as part of Tanzania’s longer-term ambition to expand investment inflows, strengthen financial resilience and accelerate economic transformation.
With remittance inflows continuing to rise, policymakers are increasingly viewing overseas Tanzanians as a strategic economic asset capable of supporting the country’s broader development agenda.
Related stories
